Publisher THQ has announced that two studios in Australia, and a development studio in Phoenix are to be closed, with 200 jobs lost, as part of a "strategic realignment to better align resources with the company's future portfolio." The affected studios are THQ Studio Australia, developer of licensed titles, and De Blob 2 developer Blue Tongue Entertainment. The Phoenix studio was behind the experimental MX vs ATV, which was sold at a budget price and supported by extensive DLC. THQ says it has decided "not to actively pursue further development" of the franchise as a result, and will also shift focus away from licensed kids titles and movie tie-ins.

Brian Farrell, THQ CEO, said: "With this realignment, we are narrowing our focus to high-quality owned IP with broad appeal that can be leveraged across multiple platforms. We are making shifts to reduce movie-based and licensed kids' videogames, which underscores our strategy to move away from games that will not generate strong profits."

The move leaves THQ with just five internal studios. THQ Montreal is working on an unannounced project, led by former Assassin's Creed creator Patrice Désilets, who switched from Ubisoft in controversial circumstances last October. Volition is busy with the upcoming Saints Row: The Third and Guillermo del Toro collaboration Insane, Relic Entertainment is at work on Warhammer 40,000: Space Marine, Vigil Games on Darksiders II and the Warhammer MMOG, and THQ San Diego works on the publisher's WWE titles and fighting games.


The move follows THQ's disappointing first-quarter results which saw the firm post increased losses despite increased sales revenue, and led it to drop the Red Faction franchise. THQ says affected staff will be given the option of applying for vacancies elsewhere in the company.

Source: http://www.next-gen.biz/news/thq-closes-studios-and-sheds-200-staff

Posted: Aug 10, 2011 3:45 pm